The political economy of exchange rate policy in Colombia

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Abstract
Since the 1960s Colombia has exhibited notorius economic stability and institutional continuity. Until rencently, the political system was based on an entreched bipartisan coalition, with little ideological confrontation. Power sharing, which was mandatory during the National Front (NF, 1954-74), lasted until 1991. Coffee, the main export, is a labor-intensive activity, taking place in thousands of family-owned small plots. Coffee producers income depends on a complez arrangement whit the government, the exchange rete being but one component.

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